ISO 27001 vs SOC 2: Which Certification Do You Need?
The definitive guide to choosing between the world's two most popular security certifications. Costs, timelines, and real decision criteria.
The Quick Answer
Choose ISO 27001 if...
You have global customers, need government contracts, or want the most internationally recognized security certification.
Choose SOC 2 if...
You're a US-based SaaS company, need to close enterprise deals fast, or want flexibility in your security program.
Side-by-Side Comparison
| Aspect | ISO 27001 | SOC 2 |
|---|---|---|
| Origin | International (ISO/IEC) | United States (AICPA) |
| Recognition | Global (160+ countries) | Primarily US & North America |
| Focus | Information Security Management System | Trust Service Criteria (Security, Availability, etc.) |
| Certification Type | Formal certification (3-year validity) | Attestation report (annual) |
| Audit Frequency | Annual surveillance, full audit every 3 years | Annual (Type 2) |
| Typical Timeline | 6-12 months | 3-6 months (Type 1), 6-12 months (Type 2) |
| Cost Range | $30,000 - $100,000+ | $20,000 - $80,000+ |
| Controls | 93 controls in Annex A | Flexible based on Trust Service Criteria |
| Risk Assessment | Mandatory, formal process | Required but less prescriptive |
| Documentation | Extensive (ISMS policies, procedures) | Moderate (control descriptions) |
| Best For | Global enterprises, EU customers, government | US SaaS, startups, tech companies |
When to Choose Each Certification
ISO 27001
- You have customers in Europe or globally
- You need government or enterprise contracts
- You want a formal, internationally recognized certification
- You're building a comprehensive security program from scratch
- Your industry requires ISO standards (healthcare, finance, manufacturing)
SOC 2
- Your customers are primarily in the US
- You're a SaaS or tech startup
- You need to close enterprise deals quickly
- You want flexibility in defining your control environment
- You're already using US-based cloud providers (AWS, Azure, GCP)
Both
- You serve both US and international enterprise customers
- You're in a highly regulated industry
- You want maximum credibility and market access
- You have the budget and resources for both programs
Real Cost Breakdown
ISO 27001 Costs
- Gap Assessment$5,000 - $15,000
- Implementation Support$15,000 - $50,000
- Certification Audit$10,000 - $30,000
- Tools & Software$5,000 - $20,000/yr
- Total First Year$35,000 - $115,000
SOC 2 Costs
- Readiness Assessment$3,000 - $10,000
- Implementation Support$10,000 - $30,000
- Type 2 Audit$15,000 - $40,000
- Compliance Platform$10,000 - $30,000/yr
- Total First Year$38,000 - $110,000
* Costs vary significantly based on company size, complexity, and existing security maturity
Frequently Asked Questions
Can I get both ISO 27001 and SOC 2?
Yes, many organizations pursue both certifications. There's significant overlap (60-70%) in controls, so achieving one makes the other easier. Start with whichever your primary customers require, then expand.
Which is harder to achieve: ISO 27001 or SOC 2?
ISO 27001 is generally considered more rigorous due to its formal ISMS requirements, mandatory risk assessment methodology, and extensive documentation. SOC 2 offers more flexibility but still requires substantial evidence of controls.
How long does each certification take?
SOC 2 Type 1 can be achieved in 3-6 months. SOC 2 Type 2 requires a 6-12 month observation period. ISO 27001 typically takes 6-12 months for initial certification, depending on organizational readiness.
What's the cost difference?
SOC 2 typically costs $20,000-$80,000 including audit fees and tooling. ISO 27001 ranges from $30,000-$100,000+ due to more extensive documentation and formal certification requirements. Both require ongoing annual costs.
Do I need a consultant for either?
While not required, most organizations use consultants for their first certification. A good consultant can reduce timeline by 30-50% and help avoid common pitfalls. Budget $10,000-$50,000 for consulting support.
Which do enterprise customers prefer?
US enterprises typically accept SOC 2. European and global enterprises often require ISO 27001. Government contracts frequently mandate ISO 27001. When in doubt, ask your target customers directly.
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